BILL ANALYSIS

H.B. 4187

By: Raney

Ways & Means

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties assert the importance of transparency and accountability on the part of a municipality that spends municipal hotel occupancy tax revenue on a sports-related facility or sports field owned by the municipality. H.B. 4187 seeks to increase transparency and accountability in this area by requiring applicable municipalities to file reports detailing the amounts of such tax revenue received and spent and to take certain action if those amounts are skewed towards spending.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 4187 amends the Tax Code to authorize the report required of a certain municipality that spends municipal hotel occupancy tax revenue on a sporting related facility or sports field owned by the municipality to be made accessible through a link that appears in a prominent place on the municipality's website home page. The bill requires such a municipality, on the second and fourth anniversary of the date on which active construction or expansion of a qualifying sporting related facility or sports field is complete, to prepare and publish a report on the municipality's website that identifies the total amount of municipal hotel occupancy tax revenue received by the municipality that is attributable to sporting events held at the facility or field since active construction or expansion of the facility or field was completed and the total amount of municipal hotel occupancy tax revenue spent by the municipality to construct, operate, or expand the facility or field. The bill requires the municipality, if the former total is less than the latter total, to develop and implement as soon as practicable a plan to increase the municipal hotel occupancy tax revenue received by the municipality that is attributable to sporting events held at the facility or field that includes specific strategies for accomplishing this goal by the fifth anniversary of the date on which active construction or expansion of the facility or field is complete.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2017.